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- XRP’s record-breaking rally to $3.40 was quickly followed by Bitcoin’s new peak at $108,786 before a sharp correction.
- Joe Weisenthal links XRP price spikes to Bitcoin market tops as both assets face strong downward pressure post-rally.
- Bitcoin slips below $80K despite bullish on-chain signals, while XRP tumbles 47% amid fading retail interest.
XRP generated widespread market enthusiasm when it reached its new highest level of $3.40 during January 16. Strong market momentum during the last quarter of 2024 boosted XRP prices because investors expected better treatment from the SEC for crypto assets.
Bitcoin surpassed its highest previous value to reach $108,786 exactly four days after XRP achieved its apex on January 20. Engaging conversations about XRP price surges occurring during Bitcoin’s local maximums have resurfaced because of this recent milestone alignment.
In recent years, XRP price surges have become a predictable indicator that Bitcoin faces potential exhaustion in its upward movement, according to Joe Weisenthal, who co-hosts the “Odd Lots” podcast on Bloomberg. Market observers have returned to evaluate this pattern now that both leading cryptocurrencies have entered major price corrections.
Bitcoin maintained its position above $80,000 before experiencing a market dip in which prices dropped to this level during a major U.S. stock market volatility period. At the time of this writing, Bitcoin holds a market price of $76,896 based on CoinGecko data.
XRP lost 47% of its value after recent highs due to declining retail demand and profit investors making sales. The altcoin’s market value collapsed after investors lost their initial excitement about regulatory developments that enthusiastically supported its previous price increase.
Market Structure Hints at Strong Resistance Despite Bullish Metrics
The realized cap analysis by CryptoQuant CEO Ki Young Ju indicates Bitcoin continues to operate in an upward market trend. According to his analysis, Bitcoin’s realized market capitalization has been rising since the market cap has remained flat, indicating continuous accumulation.
Source: Ki Young
Market data shows no price increase despite substantial buying orders because sellers continue to dominate the market. The ongoing selling activity keeps Bitcoin prices below possible increased levels even though on-chain signals point to favorable conditions.
Financial analyst Peter Schiff has issued opposite predictions about cryptocurrency prices, stating they will deteriorate throughout the market spectrum. The absence of intrinsic value in digital assets leads to declining prices throughout the entire market, according to his opinion.
Traditional financial markets experience similar levels of market volatility as Bitcoin goes through its ongoing correction period. Long-term investors maintain their faith in market trends, yet short-term market conditions have started to cause doubts.
XRP’s latest price peak after Bitcoin reached its highest point has established a cycling pattern that appeared during past cryptocurrency market events. Market observers are carefully studying how the downward pressure on both assets and changing market sentiment will affect the longevity of the current bull cycle for cryptocurrency markets.
Also Read: SEC Acknowledges Fidelity’s Solana ETF Filing Despite Sharp Price Decline for SOL
